How much you save is eating right.
Your investment return is exercise.
You can lose weight eating right and not exercising.
But you CAN’T lose weight exercising and not eating right.
It’s possible to lose weight JUST by eating fewer calories than you burn. Exercise just helps you burn more calories.
But it’s impossible to lose weight with just exercise if you’re still eating more calories than you burn.
Similarly, you can save enough just by saving money even if you earn zero compound interest.
But you can’t save enough even with runaway, pre-2022 crypto type returns if you’re spending every penny you have.
The average American saves less than 5%.
A good savings rate is 10-15%.
A Financial Zen savings rate is 25%.
(We’ve got some very fit people in our community.)
